Natural Gas Reserve Estimate

of Bangladesh

Zaved Choudhury
Manager (Reservoir Engineering)
Reservoir and Data Management Division
Petrobangla
Contents:

™ Background
™ Methodology
o Material balance Estimate
o Volumetric estimate
™ Results
o Titas Gas Field
o Habiganj Gas Field
o Meghna Gas Field
Background:
ƒ Earlier Works:
- In 1991 Welldrill Ltd. did a review on gas reserves of
Bangladesh, included 17 gas fields, GIIP was 22.7 Tcf
- IKM(Intercomp Kanata Management) completed a
study of 8 gas fields during 1989-92, GIIP was 15.65 Tcf

ƒ Latest Works:
- Bangladesh Petroleum Potential and Resource
Assessment 2001, included 22 gas fields, GIIP was 28.7
Tcf, Hydrocarbon Unit, EMRD
- Bangladesh Gas Reserve Estimation 2003, it’s an
update to 2001 report, reassessed the GIIP to 28.4 Tcf.
Reports of Hydrocarbon Unit are in public domain by the address:
www.hcu.org.bd
 National Companies Producing The Gas
Fields Are:

ƒ Bangladesh Gas Fields Company Ltd. (BGFCL):

Titas, Habiganj, Bakhrabad, Narshingdi, Meghna
ƒ Sylhet Gas Fields Ltd. (SGFL):
Sylhet, Kailashtilla, Rashidpur, Beanibazar
ƒ Bangladesh Exploration and Production Company Ltd.
(BAPEX):
Fenchuganj and Salda Nadi.
 Reserves Definition

o Reserves are those quantities of petroleum which are

recoverable economically in the future using commercial
methods and government regulations
o Reserves are estimates which are subject to revisions
during the life of a field
o Reserve estimates can be made for varying recovery
processes:
-Primary recovery
-Secondary recovery
-Tertiary recovery
Reserve Estimates Involve some Degree of
Uncertainties:

ƒ Dependent upon reliability of the available data

ƒ Interpretation of the data
ƒ Techniques used
Producing Mechanism of Gas Reservoirs:

9 Gas Expansion
9 Aquifer Water Influx
9 Combination Drives
 Recovery Factor
¾ Recovery factor is the fraction of hydrocarbon that can
be technically and economically extracted from
hydrocarbons originally present in the reservoirs
¾ New information of the reservoir, new technology of
extraction and the economy of the extraction may
change this number from time to time
¾ Recovery factor depends mainly on the reservoir
characteristics, drive mechanism and reservoir
management practice
¾ Ultimate recoveries of 80%~ 90% are common in
expansion drive gas reservoirs
¾ Typical recovery factor for water drive gas reservoirs can
range from 50%~70% depending upon size of the
reservoir.
 Reserves Classification
1. Proved Reserves
2. Probable Reserves
3. Possible Reserves
1. Proved reserves are those quantities of petroleum, by
analysis of geologic and engineering data, can be
estimated with reasonable certainty to be commercially
recoverable in the future from known reservoirs and
under current economic conditions, operating methods
and government regulations.
Probability of recovery should be at least 90% or more.
 Reserves Classification
2. Probable reserves are those unproved reserves that
geologic and engineering data suggest are likely
than not to be recoverable
Probability of recovery should be at least 50% or more
of the sum of the estimated proved plus probable
reserves
3. Possible reserves are those unproved reserves that
geologic and engineering data suggest are less
likely to be recoverable than probable reserves
Probability of recovery should be at least 10% or more
of the sum of the estimated proved plus probable
plus possible reserves
Methodology

Different Approaches of Reserve Estimation:

‰ Volumetric Estimate
‰ Material Balance Estimate
‰ Decline Curve
‰ Reservoir Simulation
 Volumetric Estimate

™ Deterministic Approach
Use Average Thickness, Porosity, Saturation, and Formation
Volume Factors of all the Wells

™ Probability Approach
Use Range of Values for Each Variable, and a Statistical Model
to Determine the Probability of Occurence
 Data for Volumetric Estimate

Variables Sources

ƒ Area, thickness ƒ Structure, Isopach, Well

Logs and Core Analysis

ƒ Porosity, Saturation ƒ Logs and Core Analysis

ƒ Formation Volume Factor ƒ PVT, Correlations

 Gas Reservoir
Original Gas in Place
43,560VΦ (1 − S wi )
G=
Bg

G in-place gas, standard cubic feet

V (Axh) reservoir volume, acre-feet
Ф reservoir porosity, fraction
Swi connate water saturation
1-Swi Sg= gas saturation
Bg gas formation volume factor
43,560 cubic feet / acre-foot
 Material Balance Estimate
Assumptions:

™ Homogeneous Tank (Same Rock and Fluid Properties)

™ Fluid Production at a Single Point
™ No Direction to Fluid Flow

Applications:
™ Original Oil or Gas-In-Place
™ Producing Mechanism
™ Production Performance
General Form of Material Balance Equation
F = N(Eo + mEg + Efw) + We

F = production of oil, water and gas, rb

N = original oil-in-place,stb
Eo = expansion of oil and original gas in solution,rb/stb
m = initial gas cap volume, fraction of initial oil volume
Eg = gas cap expansion, rb/stb
Efw = connate water expansion and pore volume
reduction due to production, rb/stb
We = cumulative natural water influx, rb
 Gas Material Balance Equation
F = Gp(Eg + Efw) + We
P/Z=(1-Gp/G ) Pi /Zi

F = production of gas, and water, rb

G = original gas in place,scf
Eg = expansion of gas,rb/scf
Efw = connate water expansion and pore volume reduction,rb/scf
Et = Eg + Efw
We = cumulative natural water influx,rb
P = pressure,psia
Pi = initial pressure,psia
Gp = cumulative gas production,scf
Z = compressibility at pressure
Zi = compressibility at initial pressure
 Material Balance Estimate (contd.)

™ Using the Software MBAL™

™ Conventional Material Balance Approach
[using SBHP (static bottom hole pressure); p/z
vs cumulative production]
™ FWHP(Flowing Wellhead Pressure) Approach
(in the case of paucity of pressure survey data)
Data for Material Balance Study

ƒ Cumulative Gas, Condensate and Water

Productions
ƒ Average Reservoir Pressure
ƒ PVT
 Analysis of
Titas Gas Field
Titas (contd.)

‰ Titas Gas Field is approximately 50 miles

east of Dhaka City
‰ Titas Field was delineated in the early 1950s
by Pakistan Petroleum Ltd.(PPL)
‰ Pakistan Shell Oil Company(PSOC)
conducted seismic survey and confirmed an
anticline structure (1960)
‰ The Field was discovered in 1962 by PSOC
Titas (contd.)

‰ The sands are classified into three groups A, B

and C.
‰ Several estimates put GIIP as 2.25 to over 3.45
TCF (1962-1984)
‰ IKM conducted a comprehensive study under
Gas Field Appraisal Project (1990) :
Main features:
GIIP of A Sands 9.58 TCF (MB); 3.17 TCF (Volumetric)
GIIP of B and C Sands 745.8 BCF (MB); 970 BCF (Volumetric)
‰ Production from the A sand group began in 1968
Titas(contd.)
Material Balance Study

Conventional method
ƒ p/z vs GP plot
p is static reservoir pressure
ƒ using MBALTM software
 MB using Pressure Survey Data of Titas A Sands

5000
P/Z SBHP Titas A Sands
4500
Linear (P/Z SBHP Titas A Sands)
4000
Titas A Sands MB pressure survey
3500 points, include w ells 1, 2, 3, 4, 5, 6,
7and 11. Data points are from respective
3000 time to time pressure survey. Includes
last pressure survey on 2001.
P/Z, Psia

2500
y = -0.0005x + 4535.2
2000
GIIP = 9.07 TCF
1500

1000

500

0
0 1000000 2000000 3000000 4000000 5000000 6000000 7000000 8000000 9000000 10000000
Cum ulative Production, MMscf
MBALTM Analysis for Titas A Sands
MBALTM Analysis for Titas A Sands (cont.)
History Matching by MBALTM
 MB using Pressure Survey Data of Titas B & C Sands

5000
P/Z SBHP Titas B and C sands
4500
Linear (P/Z SBHP Titas B and C sands)

4000

Titas B and C Sands MB pressure

3500 survey points, include w ells 8, 9 and
10. Data points are from respective
3000 time to time pressure survey. Includes
last pressure survey on 2001.
P/Z, Psia

2500

2000 y = -0.003x + 4578.1

1500 GIIP= 1.52 TCF

1000

500

0
0 200000 400000 600000 800000 1000000 1200000 1400000 1600000 1800000 2000000
Cum ulative Production, MMscf
MBALTM Analysis for Titas B and C Sands
MBALTM Analysis for Titas B and C Sands (cont.)
History Matching and Performance Prediction by MBALTM
Comparison of the P/Z (conventional), MBALTM
and Volumetric Estimates of Titas Sands

Sand GIIP Tcf GIIP Tcf GIIP Tcf

(P/Z) (MBALTM) (Volumetric)
(conventional)
A Sands 9.07 8.5 6.1

B and C 1.52 1.2 1.2

Sands

Total 10.59 9.7 7.3

The Discrepancy Between the Estimates is
Probably due to the Fact:

The Field is Producing for the Last 40 Years

ƒ With Insufficient Geophysical Data
ƒ Limited Well Control

The Reality is, that the Field has not been Fully
Appraised. These are the Limitations in the
Volumetric Estimate.
 Analysis of
Habiganj Gas Field
Habiganj (contd.)

‰ Habiganj Gas Field is located approximately 75

miles north-east of Dhaka City
‰ Pakistan Shell Oil Company(PSOC) conducted
seismic survey and confirmed an anticline
structure (1962)
‰ The Field was discovered in 1963 by PSOC
‰ The Sands are :
• Upper Gas Sand
• Lower Gas Sand
Habiganj (contd.)

‰ IKM study (1990)

• Main features:
Upper Sand 3630 BCF
Lower Sand 38.6 BCF
‰ Production from Upper Sand began in 1968
 MB using Pressure Survey Data of
Habiganj Upper Sand

HABIGANJ FIELD UPPER SAND RESERVO IR PLO T O F SIDatP / Z vs. Q wgp

2600

Habiganj Upper Sand MB

2550 pressure survey points, include
Jan 85
wells 1to 10. Data points are from
2500
respective time to time pressure
survey. Includes last pressure
May 86
survey on 1999.
2450
Jan 90
Dec 92
Dec 94 Dec 97
2400

2350
Aug 99

2300
0 100 200 300 400 500 600 700 800
C U M U L A T I VE GA S P R OD U C TI ON , B S C F
MBALTM Analysis for Habiganj Upper Sand
MBALTM Analysis for Habiganj Upper Sand (cont.)
History Matching by MBALTM
Comparison of the P/Z (conventional), MBALTM
and Volumetric Estimates of Habiganj Upper
Sand

Sand GIIP Tcf GIIP Tcf GIIP Tcf

(P/Z) (MBALTM) (Volumetric)
(without
considering
water drive)

Upper Sand 10 5.1 4.69

 Results of Habiganj Gas Field Estimate

‰ Conventional method shows the trend with a higher GIIP

value which is not supported by the volumetric analysis.
Extrapolated straight line gives a value of 10Tcf which is
almost double the volumetric figure.
‰ Analytical approach of MBALTM software matches with
the historical production, which depicts a strong water
drive.
‰ Habiganj Field Upper Sand MBALTM Estimate is very
close to the Volumetric Estimate
‰ Habiganj Field GIIP:
‰ Upper Sand GIIP 5.1 TCF
‰ Lower Sand GIIP 39 BCF
 Analysis of
Meghna Gas Field
Meghna(contd.)

‰ Meghna Gas Field is approximately 35 miles

east of Dhaka City
‰ The Field was delineated by PPL in 1953
‰ Petrobangla discovered the field in 1990
‰ The Field started production in 1997
‰ In the Reserve estimate of Meghna Gas Field
Flowing Well Material Balance has been used,
due to the paucity of pressure survey data
 Material Balance for Meghna Field
(C-sand) using FWHP Data
4000

3500
P/Z FWHP Meghna Sand
3000

2500
P/Z, Psia

2000

1500

1000

500

0
0 10 000 20 000 30 000 40 000 50 000 60 000 70 000

Cumulative Production, MMscf

Comparison of Flowing Well Material Balance and
Volumetric Estimates of Meghna C Sand

Sand GIIP Bcf GIIP Bcf

(FWHP Material (Volumetric)
Balance)

C Sand 60 74

For Meghna Gas Field Pressure Survey Data are not Available
Inconsistency Between the
Material Balance and the
Volumetric Estimates is
due to Data Constraints
 Constraints in Material balance and Volumetric
Estimate :

‰ Material Balance Estimate ‰ Volumetric Estimate

¾ Amount of Production History ¾ Seismic Coverage
¾ Inadequate Pressure Survey Data ¾ Number of Wells
¾ Confidence Level of Data ¾ Confidence Level of Data
-PVT Properties -PVT Properties
-Rock Properties -Rock Properties
-Production Data
 RESERVE OF NATURAL GAS IN BANGLADESH
Gas in BCF
Recov- Cumu-
GIIP Remai-
Year of erable Reco. lative
Sl. Fields Operator (Prvd.+ ning
Discovery (Prvd. Factor(%) Gas Produ-
No. Prbl.) Reserve
+Prbl.) ction
A. Developed Reserve
a. Under Production
1. Bakhrabad 1969 BGFCL 1498.6 1049 70 660.6 381.4
2. Beanibazar 1981 SGFCL 243.1 170.2 70 46.9 123.3
3. Habiganj 1963 BGFCL 5139 3852.3 75 1453.4 2398.9
4. Jalalabad 1989 CHEVRON 1195 836.5 70 398.9 437.6
5. Kailastila 1962 SGFCL 2720.1 1903.3 70 394.6 1508.7
6 Meghna 1990 BGFCL 170.6 119.6 70 35.9 83.7
7. Narsingdi 1990 BGFCL 307.2 215.1 70 74.2 140.9
8. Rashidpur 1960 SGFCL 2002 1401.2 70 410.4 990.8
9. Saldanadi 1996 BAPEX 165.8 116.1 70 51 65.1
10 Sangu 1996 CAIRN 1031 848.5 82 420.7 427.8
11. Sylhet 1995 SGFCL 683.9 478.7 70 184.9 293.8
12. Titas 1962 BGFCL 7325 5127.5 70 2705.2 2422.3
13. Fenchuganj 1988 BAPEX 404 282.8 70 45.2 237.6
14 Moulovibazar 1997 CHEVRON 448.9 359.6 80 84.9 274.7
15. Feni 1981 NIKO 185.2 129.6 70 59.5 70.1
16. Bangura TULLOW *204 *122.4 60 22.6 99.8
17. Bibiyana 1988 CHEVRON 3144.5 2400.8 76 0 2400.8
Sub-Total (a) 26867.9 19413.2 - 7055.9 12357.3
 RESERVE OF NATURAL GAS IN BANGLADESH (Cont.)
Gas in BCF

Recov- Cumu-
GIIP Remai-
Year of erable Reco. lative
Sl. Fields Operator (Prvd.+ ning
Discovery (Prvd. Factor(%) Gas Produ-
No. Prbl.) Reserve
+Prbl.) ction
b. Production Suspended
18. Chattak 1959 BGFCL 677 473.9 70 25.8 448.1
19. Kamta 1981 SGFCL 71.8 50.3 70 21.1 29.2
Sub-Total (b) 748.8 524.2 - 46.9 477.3
Total Developed Reserve (a+b) 27616.7 19937.4 - 7102.8 12834.6
B. Undeveloped Reserve
Not in Production
20. Begumganj 1977 BAPEX 46.7 32.7 70 0 32.7
21. Kutubdia 1977 CAIRN 65 45.5 70 0 45.5
22. Semutang 1969 BAPEX 227 150.3 66 0 150.3
23 Shahbazpur 1995 BAPEX 664.3 465.6 70 0 465.6
Total Undeveloped Reserve(c) 1003.0 694.1 - 0 694.1

Reserves & Production Based on HCU/NPD As of June 2007

*Provisional Reserve figure of Bangura

Last update : August 2007
-Production Data of Bibiyana not included

Source: www.petrobangla.org.bd
 RESERVE OF IOC OPERATED FIELDS IN BANGLADESH
Gas in BCF

Recov- Cumu-
GIIP Remai-
Year of erable Reco. lative
Sl. Fields Operator (Prvd.+ ning
Discovery (Prvd. Factor(%) Gas Produ-
No. Prbl.) Reserve
+Prbl.) ction

A. Developed Reserve

a. IOCs Under Production

1. Jalalabad 1989 CHEVRON 1195 836.5 70 398.9 437.6

2. Sangu 1996 CAIRN 1031 848.5 82 420.7 427.8

3. Moulovibazar 1997 CHEVRON 448.9 359.6 80 84.9 274.7

4. Feni 1981 NIKO 185.2 129.6 70 59.5 70.1

5. Bangura TULLOW *204 *122.4 60 22.6 99.8

6. Bibiyana 1988 CHEVRON 3144.5 2400.8 76 0 2400.8

Total 50578.7 4697.4 - 986.6 3710.8

*Provisional Reserve figure of Bangura

Last update : August 2007
 Summary of Gas Reserve and Production
June 2007

Gas (Proven+Probable) 28,619.70 Bcf 28.62 Tcf

Recoverable 20,631.45 Bcf 20.63 Tcf
Cumulative Gas Production as June-07 7,102.91 Bcf 7.10 Tcf
Remaining Reserve 13,528.54 Bcf 13.53 Tcf
Gas Production in June-07 40.83 Bcf 0.04 Tcf

Includes provisional reserve figure of Bangura

Source: www.hcu.org.bd
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